The invention discloses coated slow-release fertilizer for paddy rice and a preparation method thereof. The coated slow-release fertilizer comprises a fertilizer matrix and a coating agent coating theouter surface of the fertilizer matrix, wherein the fertilizer matrix comprises nitrapyrin crystal urea, oxalyl urea, potassium-magnesium sulfate fertilizer, potassium dihydrogen phosphate, potassiumchloride, calcium chloride, sodium selenite, borate, molybdate, manganese sulfate, zinc ammonium phosphate, iron ammonium phosphate, magnesium ammonium phosphate, rapeseed meal, sunflower seed meal,tea seed meal, xylitol residues, edible fungus residues, shrimp shell powder, seaweed powder, potassium fulvate, rooting powder, naphthalene acetic acid, potassium citrate, chitosan and plant extraction agent; the coating agent comprises oxidized starch, glycerin, sodium alginate, urea-formaldehyde resin, cotton fibers, phosphoric acid, sodium lactate, acrylic urethane and clay. The coated slow-release fertilizer for paddy rice is high in fertilizer efficiency, lasting in effect, capable of effectively increasing the yield of the paddy rice and capable of improving the quality of the paddy rice.